Can small investors actually make good profit with bitcoin ?

[BluebloodCXVI]

We all know that there have been times where bitcoin has suffered multi-year periods of underwater performance and there’s a good chance that something like that will happen again probably in the nearest future.

You saying “forget about it for 3-4 years” is sounding like a very simple thing to do but the fact still remains that, an advice like that will only work if the person is mentally strong enough to handle watching their investment drop by 50%-80% without fretting out and do something retarded; you’d be suprised at how many of the people who think they can handle volatility when the price is going up but if for a moment the price happens to drop lower than they expected they start to shit their pants.

But even at that we still have long term investors still holding their bitcoin portfolio while, some are still using DCA to keep their bitcoin accumulation ongoing till they have reached their bitcoin target.

Provided that you have a long term investment mindset and use your discretionary income to accumulate bitcoin with the amount that wouldn't affect you financially, when there's a dip you might panic but not to the point of selling at loss.

This is why brand new investors who don't have the confidence in bitcoin should start buying with little amount from their discretionary income till when they have learned by experience due to consistent purchase and gained more confidence in Bitcoin, they can increase their DCA amount and invest aggressively to cover up for the period they were still learning and accumulating in a whimpy way

Well you’re not wrong but your reply doesn’t fully address the point i made earlier.

My point was primarily shifted towards the psychological aspect of investing.

Telling someone to invest and forget about it for 3-4years is probably a good advice but many people underestimate how emotionally difficult it can be for some people to watch their investment go through a large market drawdown without panic selling.

Your reply is primarily shifted towards the strategical aspect of investing which include investing with only discretionary income, having a long term mindset, starting small with DCA, and increasing your DCA as your conviction grows.

Now all these are very reasonable points that you have made and after reading it, i don’t think they actually refute my own earlier points. In fact i think your points indirectly support my earlier stated points.

Reason why i say so is because if we are clamoring for a beginner to start investing with small amounts until they gain more confidence before increasing it, then to me it simply implies that confidence and emotional resilience are not automatic.
In other words, a person has to develop them over time and that’s essentially what i was saying too; so we’re basically on the same page.

Building your conviction over time through experience is what helps people to be able to hold through certain drawdown periods and in most cases, without conviction, even a well planned DCA strategy can fall apart.

[Barikui1]

Although every person has the right to decide which method he will invest through and where he will invest. But we are discussing long-term investment in this thread and the main focus of this thread is Bitcoin. So I hope we are not talking about shitcoin in this thread or are not failing to understand the difference between Bitcoin and shitcoin.

Yes, it is true that sometimes shitcoins make a lot of profit to a person and if a person invests in shitcoin along with Bitcoin, if he profits once, he can become greedy and can completely get rid of Bitcoin and gradually get attracted to shitcoin and face losses. Most of the shitcoins in the market are fraudulent and these are created to deceive. Do not put everyone at risk by asking them to invest in shitcoins and do not put others at risk.

What most investors have failed to understand is that investment in shit coin is more of gambling than investment, and they fails to understand how addictive gambling can be most times. Just as you pointed out in your statement, an investor may be investing in both Bitcoin and shit coin, but once he makes a breakthrough in shit coin and makes a lot of money from it, he may ignorantly or greed may compel him to channel all his resources into shit coin, which is practically a disaster waiting to happen. So gambling on alt and meme coin should be avoided because it's as addictive as real time gambling.

[Sobz]

Or are there other ways to make money with bitcoin as a small investor rather than just buy and hold?

There are many ways to make profit from bitcoin if only you have the knowledge to do that. First of all, you can use the $1,000 to buy bitcoin in cryptocurrency exchange and you become an exchange vendor or buyer and p2p vendor in the exchange buy you have to register with them first. Then there is another way again, you can become a trader but you need good experience to do that so you won't lost funds. But the former is the best because it gives you the privilege to be an investor in the exchange. Why I am suggesting this alternatives because keeping the $1k in the wallet for a very long time might not give you the needed profit as you started in the Op.

Theur is nothing wrong in making money from bitcoin but I wonder why people are so particular in just making small bucks immediately and not investing for the future.  Their are chances of trading $1k and lose good amount of it and if kot all because because trading is not as easy as many thinks, but their are good chances of making a good amount of profit if this same amount is invested in bitcoin,  long-term investment. I have come to understand if one is in haste to make money from bitcoin they lose more but buying bitcoin and accumulating,  hodling it is more profitable.

[Rockson1]

Which brings me back to my question
Can small investors actually make good profit with bitcoin?

Or are there other ways to make money with bitcoin as a small investor rather than just buy and hold?

I will answer your question straight and give facts to back up my answer, and the answer is yes, small investor can make good profit in Bitcoin Bitcoin.
Don't ever underestimate the power of little beginnings, consistency is all it takes for a small investor to grow his Bitcoin portfolio overtime and make profit in the long-term since it is about profit, one thing I do tell people is that, if the amount you have available is your discreationary income and you can maintain it continuously and consistently, you do not have anything to worry about, just do your thing, do not see Bitcoin investment as a competition, a small investor can grow to a big investor some day, it just a matter of time and how committed he is towards the course his chasing, it will not make any sense if one waits until he starts big, some of the big investors we have today started small despite that at some point there discreationary income increased because their source of income multiplied, Bitcoin investment is more about consistency as I know and profit follows on a long-term but with patience.

Buying and hodling is the best approach for small investors reason being that they might not be able to handle the outcome of the riskier ways which is more like gambling than investment.

[Son Of Blockchain (SOB)]

Edited.

For an investor that wants less risk but good return the idea should not be trading BTC rather the focus should be about long term investment. You can make fast profit from trading if you are lucky but the probability of staying in profit is not guaranteed but it you choose long term and maintain consistency for at least 10 years there's no way you won't realize the profit you would have lost in trading.

For those who thinks they are professionals in trading they can go ahead and trade but in my personal opinion and recommendation I would suggest that investors should choose long term over trading or short term investment.

Good point dude, imagine looking an asset like Bitcoin cause i choose to trade with it, one thing I dislike about trading is that getting a reward from it depends on luck cause you can't tell what direction the price of Bitcoin would go, which means it's based on speculative analysis, that's a very big risk for an asset with potential.
 That's why investing with it is the best, even though there's no guarantee for a reward, atleast Bitcoin has proven to be progressive and recover with time after dips so it's gives hope compared to being speculative with it. I'll always support long term investment so your suggestion is spot on.

[CryptoBuds]

Actually, I also think of this. Honestly, if my goal is to make more than 2x ROI, I would go for top alts. I won't name a coin, but if your goal is to have more than 2x ROI with limited funds, you're better off with top alts. There is still a chance they could hit 3x or more during the bull run compared to BTC. They are not a bad choice, but of course, compared to BTC, you can be more confident when it comes to making a profit. The feeling that BTC gives, that your ROI is more secure, is still better.

Would you rather take more risk for more profit or settle for lower ROI but be more confident?

If I took my  investment very savely then I will prefer Bitcoin. But I also think its better to invest some money in Alts coins  although there  is some more risk in it.  But there is more profit margin in it but from alts coin I choose only those coins which are included in top 50 coins after I also prefer only those coins from these 50 coin who have more use case . As we know its a very big deal to do 2x in Bitcoin. But in which duration Bitcoin do its 2x Alts coins can do its 4x  to 5x that's why according to my opinion I invest my  70% in Bitcoin and 30% in Alts coins. But i also do complete research and I do not put my all investment in only one token of Alts coin but I choose 3 to 4 tokens of Alts coin to invest so that I face less lose .

Can you name any top altcoin that even doubled from its previous ATH during the last cycle, let alone made a x4 or x5 return?

It's undeniable that Bitcoin is no longer small, and exponential growth at this stage is not easy. But making a x2 or x3 return on your initial investment in Bitcoin is not impossible.

Bitcoin only gained around 80% from its previous ATH during the last cycle. But some people still made a x5-x8 return by taking advantage of the opportunity to buy Bitcoin at $15k-20k during the 2022 bear market. This means that if we can take advantage of the current bear market, making a x2 or x3 return from Bitcoin is absolutely possible.

[oll]

$1000 is already big enough for the beginning but rather than doing it directly I think it would be better to make this as a gradual purchase or if you do have more finances to buy at once $1000 can but of course we will not stop here if you really want to make an investment because I feel now in the end this will continue when it already has the intention to invest.
To know how long it is is uncertain especially when you focus only on uniqueness but what is certain here for me is that we will still benefit if we invest our funds into bitcoin and do it for the long term. I know there are risks and nothing is certain here but when looking at the data and the history of bitcoin's rise it is still possible that profits will come one day.

For me personally, a thousand dollars is a pretty huge investment, but my personal thought is not that "there is no amount of investment that would not benefit the investor's internal discipline."
When I was a student, I didn't have much money, but I understood that if I constantly invest even these small funds, then in the future I will be ready to invest a lot of money easily and correctly. And it worked, because the habit is formed faster than it seems.
And after that, large responsible investments in bitcoin no longer scared me, because I had developed a discipline that helped me. Sometimes you have to start small, it's absolutely normal, that's how we all started.

[Son Of Blockchain (SOB)]

Theur is nothing wrong in making money from bitcoin but I wonder why people are so particular in just making small bucks immediately and not investing for the future.  Their are chances of trading $1k and lose good amount of it and if kot all because because trading is not as easy as many thinks, but their are good chances of making a good amount of profit if this same amount is invested in bitcoin,  long-term investment. I have come to understand if one is in haste to make money from bitcoin they lose more but buying bitcoin and accumulating,  hodling it is more profitable.

Concerning your statement, I've realised that poor people want quick solutions to their problems while the rich think of sustainability of wealth which is why they got for an investment option with Bitcoin whereas the poor don't worry much about the future cause they want their problems solved in the present so majority of them choose things that give quick profits, it takes a poor person that's thought deeply about financial freedom and how to sustain it to choose Bitcoin as an investment option.
 With that being said, chasing quick money with Bitcoin would only give temporal or little money and only few are lucky to hit it big while doing that so instead of waiting to be among the lucky ones and probably lose a lot before it happens, which might never even happen, those lost money could be channeled into something with the potential of securing a better amount of money in future (Bitcoin investment).

[Awaklara]

And after that, large responsible investments in bitcoin no longer scared me, because I had developed a discipline that helped me. Sometimes you have to start small, it's absolutely normal, that's how we all started.

The results will depend on how well you plan and execute your investments. If you only make a one-time investment, then timing will be key to how likely you are to make a profit. The same goes for investing small amounts regularly; it can still be profitable, but you need to maintain consistency. Investing in Bitcoin isn’t easy, especially if your mindset is immediately focused on doubling the Bitcoin you own.

[GiftedMAN]

What most investors have failed to understand is that investment in shit coin is more of gambling than investment, and they fails to understand how addictive gambling can be most times. Just as you pointed out in your statement, an investor may be investing in both Bitcoin and shit coin, but once he makes a breakthrough in shit coin and makes a lot of money from it, he may ignorantly or greed may compel him to channel all his resources into shit coin, which is practically a disaster waiting to happen. So gambling on alt and meme coin should be avoided because it's as addictive as real time gambling.

Investors knows the difference between investing in Bitcoin and shitcoins and they also know that shitcoins are like gambling where you have to pray to be lucky as that could be the only way to make profit but they keep trying their luck because one big profit in shitcoins investment can be a double of what they can make in their Bitcoin investment that's why they keep trying even when they keep losing money.

Shitcoins are pump and dump coins investors are aware but since most of them want fast profit which may not happen with Bitcoin, the best plan would be for them to a different plan where they will have some good amount invested in Bitcoin which is secured then use some part of the money to risk in different shitcoins just in case they get lucky to make profit from one.

[greysonz]

Can you name any top altcoin that even doubled from its previous ATH during the last cycle, let alone made a x4 or x5 return?

It's undeniable that Bitcoin is no longer small, and exponential growth at this stage is not easy. But making a x2 or x3 return on your initial investment in Bitcoin is not impossible.

Bitcoin only gained around 80% from its previous ATH during the last cycle. But some people still made a x5-x8 return by taking advantage of the opportunity to buy Bitcoin at $15k-20k during the 2022 bear market. This means that if we can take advantage of the current bear market, making a x2 or x3 return from Bitcoin is absolutely possible.

Altcoins are unstable, I don't trust them. I do not know what kind of mindset you have, but when I invest in bitcoin and then see the price drop, the only thing I think about is "the new ATH will be a little later than expected." And of course, I'm wondering where to get more fiat to buy Bitcoin. But when I see altcoins falling, I'm not at all sure that this type of crypto will be able to grow in price. This is the meaning of what for me, as a small investor, distinguishes bitcoin from altcoins as much as possible: confidence in the future. Bitcoin still has a long way to go, and despite the fact that it is already known, I believe that these are only the first steps. 200k... 500k... and so on - more to come.

[Slimzeee]

Can small investors actually make good profit with bitcoin?

Or are there other ways to make money with bitcoin as a small investor rather than just buy and hold?

I will encourage you that small investors can make good profits in Bitcoin. However, what I will discourage you against is the mindset of looking for quick profits in the Bitcoin space.

But to answer your question again, Yes, a small investment might yield a smaller profit because even if you make a 100% profit, it is still 100% of what you initially invested. So the question becomes: how do you reach your intended profit target?

Best approach is not by simply holding that initial $1k alone. A better approach is to consistently accumulate Bitcoin over time according to what your pocket can afford. This way, you're gradually increasing your Bitcoin holdings instead of depending on a single investment to do all the heavy lifting.

You can even consider it a form of savings if you intend to. Come to think of it, many of us already do something similar with our regular fiat banking systems without even realizing it. The difference is that with Bitcoin, you're building your position over time and giving yourself a better chance to benefit from long-term growth rather than chasing short-term gains.

[AgriTrack]

Actually, I also think of this. Honestly, if my goal is to make more than 2x ROI, I would go for top alts. I won't name a coin, but if your goal is to have more than 2x ROI with limited funds, you're better off with top alts. There is still a chance they could hit 3x or more during the bull run compared to BTC. They are not a bad choice, but of course, compared to BTC, you can be more confident when it comes to making a profit. The feeling that BTC gives, that your ROI is more secure, is still better.

Altcoins don't always perform the way we expect them to, even if you are investing in the top altcoins such as ETH, SOL, or BNB, you might not get 2x or more returns in the bull run in every cycle, and Bitcoin might have a higher growth percentage than them, and we saw this happen in the recent bull run. Have you noticed the growth percentage of ETH in the recent bull run? It didn't outperform Bitcoin at all, and it definitely didn't grow 2x during that time, maybe 1x or something around that.

Would you rather take more risk for more profit or settle for lower ROI but be more confident?

I wouldn't go with altcoins when it comes to making long-term investments because I have trust issues with them. I was a part of this market when LUNA crash happened in 2022. LUNA was one of the top altcoins of this market, if I remember correctly, I think it was among the top 20 cryptocurrencies in CMC list of top cryptocurrencies, but we all saw what happened to it, and that can literally happen to any altcoin in this market. So I think they are good for short or medium terms, but not for the long-term.

[Fiasem20]

Can small investors actually make good profit with bitcoin?

Or are there other ways to make money with bitcoin as a small investor rather than just buy and hold?

I will encourage you that small investors can make good profits in Bitcoin. However, what I will discourage you against is the mindset of looking for quick profits in the Bitcoin space.

But to answer your question again, Yes, a small investment might yield a smaller profit because even if you make a 100% profit, it is still 100% of what you initially invested. So the question becomes: how do you reach your intended profit target?

Best approach is not by simply holding that initial $1k alone. A better approach is to consistently accumulate Bitcoin over time according to what your pocket can afford. This way, you're gradually increasing your Bitcoin holdings instead of depending on a single investment to do all the heavy lifting.

You can even consider it a form of savings if you intend to. Come to think of it, many of us already do something similar with our regular fiat banking systems without even realizing it. The difference is that with Bitcoin, you're building your position over time and giving yourself a better chance to benefit from long-term growth rather than chasing short-term gains.

There’s a principle that governs human behavior and action and that could be “a little drop of water make a mighty ocean”.How long have you been accumulating small portion of bitcoin is what you should ask yourself as a small investor?It not all about the weight of money you’ve deposited to bitcoin alone,you might deposit a huge amount of money and never show concern about continuing what you’ve started.What you ought to be concerned about as a small investor is to build a better portfolio through regular accumulation process and not comparing profit,when you start comparing profits with those big investors in the market and you’ll realize you’ve haven’t even attained half of their portfolio and then you might become discouraged or triggered to reach their level but that would only come from appreciating your little beginning.

[Sawera2255@]

Can you name any top altcoin that even doubled from its previous ATH during the last cycle, let alone made a x4 or x5 return?

It's undeniable that Bitcoin is no longer small, and exponential growth at this stage is not easy. But making a x2 or x3 return on your initial investment in Bitcoin is not impossible.

Bitcoin only gained around 80% from its previous ATH during the last cycle. But some people still made a x5-x8 return by taking advantage of the opportunity to buy Bitcoin at $15k-20k during the 2022 bear market. This means that if we can take advantage of the current bear market, making a x2 or x3 return from Bitcoin is absolutely possible.

We cannot denyed from this that we can exit 2x to 3x profit in Bitcoin  instead I believe that we can exit profit more then it as the people who buy Bitcoin in between COVID 19 when there is a crash in Bitcoin then Bitcoin come near  to the 3780$ say 3850$  in 13 to 14 March 2020 . At the end of 2020 it recover very fast and crosses the 29000$ and in the next year in 2021 Bitcoin put it all time high 69000$ if some one buy Bitcoin in COVID 19 crash and sell it in 2021 then this person gain 17x to 18x.

Now I come to the question which you asked from me In June 2022

1 Polygon (MATIC) coin was 0.32$ but in November 2022 till the start of 2023 its price gone high from 1.30$ to 1.50$ from which buyer got  almost 4x to 4.5x profit.
 
2 Lido DAO (LDO) coin In june 2022 its price was 0.40$ to 0.50$ and in August 2022 its price reached to 2.60$ to 2.70$  the buyer of this coin gain almost 5x to 5.5x profit. 

3 Trust Walid Token ( TWT) in the mid of 2022 its price was 0.50$ to 0.60$ and in mid of November and December the price of this coin reached to the 2.70$ it also give his buyers 4.5x to 5x  profit .
 
4 OKB (OKB) coin In June 2022 its value was 8.50$ from the end of 2022 till start of 2023 its price reached to 40$ to 45$ its buyers also got 4.5x to 5x profit.
Uniswap (UNI) in June 2022 its price was near 3.5$ and in August 2022 its reached to 9.80$ to 10.00$ its buyers also got 3x to 4x profit .

I agree what you have said we should invest some where wether it is in Bitcoin or Altscoins the people who invest in it and hold it they got profit one day whether they invest in Bitcoin or in Altscoin .

[Primark]

What most investors have failed to understand is that investment in shit coin is more of gambling than investment, and they fails to understand how addictive gambling can be most times. Just as you pointed out in your statement, an investor may be investing in both Bitcoin and shit coin, but once he makes a breakthrough in shit coin and makes a lot of money from it, he may ignorantly or greed may compel him to channel all his resources into shit coin, which is practically a disaster waiting to happen. So gambling on alt and meme coin should be avoided because it's as addictive as real time gambling.

Investors knows the difference between investing in Bitcoin and shitcoins and they also know that shitcoins are like gambling where you have to pray to be lucky as that could be the only way to make profit but they keep trying their luck because one big profit in shitcoins investment can be a double of what they can make in their Bitcoin investment that's why they keep trying even when they keep losing money.

Shitcoins are pump and dump coins investors are aware but since most of them want fast profit which may not happen with Bitcoin, the best plan would be for them to a different plan where they will have some good amount invested in Bitcoin which is secured then use some part of the money to risk in different shitcoins just in case they get lucky to make profit from one.

Since you have been saying since the beginning of your discussion that shitcoins are like gambling (which I also agree with), then even investing small amounts in them remains gambling. Calling a decision a gamble does not make it an investment just because the amount is small. If we try to understand it generally, even if the amount of money is small, the potential loss may also be small, but the nature of the decision does not change.

The biggest limitation of a small investor is the amount of his discretionary income. So when a small investor gives a part of his limited discretionary income to that gamble, he is simultaneously losing the opportunity to accumulate Bitcoin.

[Proty]

Although every person has the right to decide which method he will invest through and where he will invest. But we are discussing long-term investment in this thread and the main focus of this thread is Bitcoin. So I hope we are not talking about shitcoin in this thread or are not failing to understand the difference between Bitcoin and shitcoin.

Yes, it is true that sometimes shitcoins make a lot of profit to a person and if a person invests in shitcoin along with Bitcoin, if he profits once, he can become greedy and can completely get rid of Bitcoin and gradually get attracted to shitcoin and face losses. Most of the shitcoins in the market are fraudulent and these are created to deceive. Do not put everyone at risk by asking them to invest in shitcoins and do not put others at risk.

What most investors have failed to understand is that investment in shit coin is more of gambling than investment, and they fails to understand how addictive gambling can be most times. Just as you pointed out in your statement, an investor may be investing in both Bitcoin and shit coin, but once he makes a breakthrough in shit coin and makes a lot of money from it, he may ignorantly or greed may compel him to channel all his resources into shit coin, which is practically a disaster waiting to happen. So gambling on alt and meme coin should be avoided because it's as addictive as real time gambling.

It is not that those investors doesn't understand that investing in bitcoin is more like gambling, the thing is that they are blind by the urge to make quick profit. Bitcoin isn't suitable for short term holding and as a result they believe they can be able to cash out big through investing in shitcoin. The desire to make it big within a short time is what drive most investors to invest in bitcoin.
For those that can't really avoid investing in shitcoin, they can allocate at least %10 of there discretionary income in shitcoin and the greater percentage in buying bitcoin.

[Tmoonz]

Or are there other ways to make money with bitcoin as a small investor rather than just buy and hold?

There are many ways to make profit from bitcoin if only you have the knowledge to do that. First of all, you can use the $1,000 to buy bitcoin in cryptocurrency exchange and you become an exchange vendor or buyer and p2p vendor in the exchange buy you have to register with them first. Then there is another way again, you can become a trader but you need good experience to do that so you won't lost funds. But the former is the best because it gives you the privilege to be an investor in the exchange. Why I am suggesting this alternatives because keeping the $1k in the wallet for a very long time might not give you the needed profit as you started in the Op.

Theur is nothing wrong in making money from bitcoin but I wonder why people are so particular in just making small bucks immediately and not investing for the future.  Their are chances of trading $1k and lose good amount of it and if kot all because because trading is not as easy as many thinks, but their are good chances of making a good amount of profit if this same amount is invested in bitcoin,  long-term investment. I have come to understand if one is in haste to make money from bitcoin they lose more but buying bitcoin and accumulating,  hodling it is more profitable.

You don't have to be surprised seeing that there are those that are only interested in what they can get immediately even when it is small they don't get to care about the potential risks, note that not everyone can be as patient as you can because investment is all about patience and without patience there is no way you can see your progress, as for trading I don't think anyone sees it as an easy thing to do even those that are fully in to it will always say it is complex and difficult,  and anyone saying is easy is not really saying the truth. When you are in a haste to make money in life and not only in Bitcoin you may end up losing more money because you must have got a lot of high risk involvement. Surely, there is a better chance in investing.

[Joy- maker]

Which brings me back to my question
Can small investors actually make good profit with bitcoin?

Or are there other ways to make money with bitcoin as a small investor rather than just buy and hold?

There are other ways one can make profit from Bitcoin but I won't advise you or anyone to approach Bitcoin that way. Instead I will advice you start accumulating Bitcoin as soon as possible with your discretionary income using the DCA method untill you accumulate a decent amount of Bitcoin and then hold it for long term 5 to 10 years or more. There is no point panicking when Bitcoin dip because Bitcoin has already proven to be a store of value with potential for significant returns, all you need to do is to secure your Bitcoin investment from hackers and scammers.

[ultrloa]

Provided that you have a long term investment mindset and use your discretionary income to accumulate bitcoin with the amount that wouldn't affect you financially, when there's a dip you might panic but not to the point of selling at loss.

This is why brand new investors who don't have the confidence in bitcoin should start buying with little amount from their discretionary income till when they have learned by experience due to consistent purchase and gained more confidence in Bitcoin, they can increase their DCA amount and invest aggressively to cover up for the period they were still learning and accumulating in a whimpy way

Well you’re not wrong but your reply doesn’t fully address the point i made earlier.

My point was primarily shifted towards the psychological aspect of investing.

Telling someone to invest and forget about it for 3-4years is probably a good advice but many people underestimate how emotionally difficult it can be for some people to watch their investment go through a large market drawdown without panic selling.

Your reply is primarily shifted towards the strategical aspect of investing which include investing with only discretionary income, having a long term mindset, starting small with DCA, and increasing your DCA as your conviction grows.

Now all these are very reasonable points that you have made and after reading it, i don’t think they actually refute my own earlier points. In fact i think your points indirectly support my earlier stated points.

Reason why i say so is because if we are clamoring for a beginner to start investing with small amounts until they gain more confidence before increasing it, then to me it simply implies that confidence and emotional resilience are not automatic.
In other words, a person has to develop them over time and that’s essentially what i was saying too; so we’re basically on the same page.

Building your conviction over time through experience is what helps people to be able to hold through certain drawdown periods and in most cases, without conviction, even a well planned DCA strategy can fall apart.

That psychological matters when it comes on investment is important the same as the strategy they try to use. Because became resilient and to confident on all actions they do won't appear automatically on their side.

Since those conditions will be built thru different experiences on the whole process of their investments. Even those people have solid plan can possibly collapse if they don't develop solid conviction and this will be tested during big market down trends. That's why for newbies it make sense to start small, because they need lots of time to mature and stay away to experience big losses while they still learning and discovering many thing in this type of investment.

If they surpass many obstacle for sure they can be  consistent,  also their confidence will grow naturally and they can hold even if the market became bullish or bearish without getting lots of pressure.